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Analysis of the Impact of Tourism on the West Africa Economy: A Panel Data Approach

  • Ige, Cyril Segun
  • Odularu, Gbadebo Olusegun

Tourism and related recreation activities play a significant role in the generation of income / foreign exchange and provision of employment opportunities. Against this backdrop, this paper aims at ascertaining empirically the impact of tourism on the West African economy from 2000 – 2004. The relationship is analysed based on a panel data approach. While the study estimates the relationship between economic growth and growth in tourist arrivals conditional on main macroeconomic variables, it recommends that the role of tourism cannot be over-emphasized in the sustainable economic development in West Africa. In other words, economic performance in West Africa can be enhanced through sound tourism development policies that support economic openness with greater emphasis on liberalization policy since the region stands to gain from this policy stance.

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File URL: http://mpra.ub.uni-muenchen.de/25366/1/MPRA_paper_25366.pdf
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 25366.

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Date of creation: 28 Nov 2007
Date of revision: 07 Jan 2008
Publication status: Published in TOURISMOS: An International Multidisciplinary Refereed Journal of Tourism 2.3(2008): pp. 73-92
Handle: RePEc:pra:mprapa:25366
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  1. Robert J. Barro, 1989. "Economic Growth in a Cross Section of Countries," NBER Working Papers 3120, National Bureau of Economic Research, Inc.
  2. N. Gregory Mankiw & David Romer & David N. Weil, 1990. "A Contribution to the Empirics of Economic Growth," NBER Working Papers 3541, National Bureau of Economic Research, Inc.
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